Judge rejects Kenvue bid to dismiss Texas lawsuit over Tylenol safety

By Jonathan Stempel

Feb 26 (Reuters) - A Texas judge on Thursday rejected Kenvue's KVUE.N bid to dismiss a lawsuit by state Attorney General Ken Paxton accusing the company of failing to warn consumers that it may be unsafe for pregnant women to take Tylenol.

Judge LeAnn Rafferty in Panola County, Texas, near the Louisiana border, denied Kenvue's request in a one-sentence order. Her reasoning was not immediately available.

Paxton, a Republican, sued the Tylenol maker on October 28, accusing it of violating Texas' Deceptive Trade Practices Act by hiding Tylenol's supposed links to autism and attention deficit hyperactivity disorder in children.

The claim that using Tylenol during pregnancy can cause autism is scientifically unproven. Republican President Donald Trump and U.S. Health and Human Services Secretary Robert F. Kennedy Jr. have also suggested a link.

Kenvue has said repeatedly that Tylenol is safe.

In seeking a dismissal of Paxton's lawsuit, Kenvue said federal law preempted Texas law, and the U.S. Food and Drug Administration should determine labeling for acetaminophen products such as Tylenol.

The Summit, New Jersey-based company also said forbidding the marketing of Tylenol in light of "the current state of the science" violated its free speech rights under the U.S. Constitution's First Amendment.

"We will continue to vigorously defend against these claims and do everything in our power to stand up for sound, credible science," Kenvue said after Rafferty's ruling.

Paxton's office did not immediately respond to requests for comment.

FDA STUDYING NEW LABELS FOR ACETAMINOPHEN

The FDA is considering new labels for Tylenol and generic versions, and in September told doctors to alert patients to what it called growing evidence linking Tylenol use during pregnancy to autism.

Doctors and medical societies dispute there is a link.

In November, Rafferty rejected Paxton's request to block Kenvue from paying a $398 million shareholder dividend so it could conserve money for Tylenol litigation.

Kenvue brands also include Band-Aid, Johnson's Baby Shampoo, Listerine and Neutrogena.

The company was spun off from Johnson & Johnson JNJ.N in 2023, and agreed in October to a $40 billion takeover by Kleenex and Huggies maker Kimberly-Clark KMB.O.

Kenvue is awaiting a decision from the federal appeals court in Manhattan on whether to revive more than 500 private lawsuits linking Tylenol to autism. A district judge dismissed those cases in December 2024.

Paxton has aligned himself with Trump and is challenging incumbent Texas Senator John Cornyn in this year's Republican primary.

Kenvue shares were up 0.8% at $18.92 in afternoon trading.